Broadcasting Decision CRTC 2007-216
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Broadcasting Decision CRTC 2007-216 Ottawa, 6 July 2007 Astral Media Radio Inc. Various locations in Quebec The application numbers are set out in this decision Public Hearing in the National Capital Region 30 April 2007 Radio programming undertakings – Licence renewals The Commission renews the licences of the radio programming undertakings set out in this decision from 1 September 2007 to 31 August 2014. Introduction 1. At a public hearing commencing 30 April 2007 in the National Capital Region, the Commission considered licence renewal applications by several French-language commercial radio programming undertakings owned by Astral Media Radio Inc. (Astral Media). At the hearing, the Commission mainly discussed Astral Media’s commitments concerning local programming, access to the airwaves and musical and informational diversity, as well as its contribution to Canadian content development and emerging Canadian artists in light of the Commercial Radio Policy 2006, as set out in Broadcasting Public Notice 2006-158 (the Policy). 2. As part of this process, the Commission received and considered several interventions concerning each of these licence renewal applications. The public record for this proceeding is available on the Commission’s Web site at www.crtc.gc.ca under “Public Proceedings.” 3. In its intervention, the Association québécoise de l’industrie du disque, du spectacle et de la vidéo (ADISQ) highlighted its concerns with respect to musical diversity and new voices, to emerging artists, and to contributions to Canadian content development (CCD). 4. After reviewing the applications and interventions, the Commission is of the view that the following issues require consideration: • Should the Commission relieve the licensee of the requirement imposed in Broadcasting Decision 2002-90 concerning the annual filing of a report on musical diversity? • Should the Commission relieve the licensee of certain requirements concerning the broadcast of local news and programming on some of its stations? Report on musical diversity 5. At the hearing, Astral Media proposed that the Commission replace the condition of licence requiring the filing of a report on musical diversity with the filing of a report on the broadcast of musical selections by emerging artists, but in a letter dated 11 May 2007, Astral Media indicated that it would withdraw this request. Astral Media will therefore continue to file an annual report on musical diversity until expiry of the implementation period for the benefits related to the transaction approved in Broadcasting Decision 2002-90. A condition of licence to that effect is set out in the appendices to this decision. 6. In the Policy, the Commission indicated that it would now place importance on new audio content, particularly with respect to emerging artists. As a result, and to ensure relevance and consistency, the Commission encourages Astral Media to work with ADISQ to modify its annual report on musical diversity to include information that reflects the measures relating to emerging artists set out in the Policy. 7. At the hearing, Astral Media submitted a definition for the term “Canadian French- language emerging artists” that it developed in conjunction with ADISQ. The Commission notes that in its comments, the Canadian Independent Record Production Association (CIRPA) suggested a completely different definition for the term “emerging artists.” Since the industry is not in unanimous agreement on the definition submitted by the licensee and ADISQ, the Commission expects Astral Media and ADISQ to continue their discussions with the various associations and broadcasters to agree on an acceptable definition of the term “emerging artists.” Other issues 8. In its oral submission, Astral Media asked to be relieved of various requirements concerning the broadcast of local news and programs on some of its stations. In support of that request, it noted that competing stations are not subject to conditions that are as restrictive and that, to ensure consistency, Astral Media should not be held to these requirements. The Commission notes that some of these conditions of licence were imposed at the time of the transfer of control of 3903206 Canada Inc., of Telemedia Radio Atlantic Inc., and of 50% of Radiomedia Inc. to Astral Radio Inc. approved in Broadcasting Decision 2002-90. However, according to Astral Media, the transaction as approved by the Commission in Broadcasting Decision 2002-90 was never completed. Astral Media stated that it is of the view that its request for relief from the obligations should be approved in view of its exemplary performance and its clear willingness to contribute to achieving the objectives of the Broadcasting Act and the Commercial Radio Policy. 9. However, given that Astral Media requested the renewal of the licences listed below under their current terms and conditions, and given that these proposals were not included in the application published in Broadcasting Notice of Public Hearing 2007-3, as amended by Broadcasting Notices of Public Hearing 2007-3-2, 2007-3-3 and 2007-3-4, the Commission considers that it cannot approve Astral Media’s proposals because the public has not had an opportunity to comment on the possible withdrawal of these conditions of licence. However, the Commission reminds the licensee that it may file a new application seeking relief from the conditions of licence if it deems it appropriate. Licence renewals 10. In light of all of the above, the Commission renews the broadcasting licences of Astral Media Radio Inc. for the radio programming undertakings listed below, from 1 September 2007 to 31 August 2014. The licences will be subject to the conditions set out in Public Notice 1999-137, as well as to the conditions set out in the appendices to this decision. Canadian content development 11. In the Policy, the Commission set out a new approach to the development and promotion of Canadian artists. In order to reflect a new emphasis on development initiatives that lead to the creation of audio content for broadcast using Canadian resources, the Commission replaced the expression “Canadian talent development” (CTD) with “Canadian content development” (CCD). Under the new policy, each radio station holding a commercial radio licence is required to make a basic annual CCD contribution based on its total broadcast revenues in the previous broadcast year. This requirement will be reflected in the Radio Regulations, 1986 (the Regulations). Until such time, it will be implemented by a transitional condition of licence, as set out in the appendix to this decision. This condition of licence will expire upon the coming into force of the amendments to the Regulations. Tangible benefits relating to the 2002 ownership transaction 12. In Broadcasting Decision 2002-90, Astral Media proposed tangible benefits with a value of $15.3 million, representing 6% of the value of the transaction. The Commission expects Astral Media to respect its commitment to distribute the tangible benefits relating to the 2002 ownership transaction between the French-language and English-language radio sectors. Broadcasting licences for French-language commercial radio programming undertakings: Application number Station 2005-1408-5 CFEI-FM Saint-Hyacinthe 2005-1409-3 CFZZ-FM Saint-Jean-sur-Richelieu 2005-1410-1 CHEY-FM Trois-Rivières 2005-1411-8 CHIK-FM Québec 2005-1412-6 CHRD-FM Drummondville 2005-1414-2 CIGB-FM Trois-Rivières 2005-1415-0 CIKI-FM Rimouski and its transmitter CIKI-FM-2 Sainte-Marguerite 2005-1416-8 CITÉ-FM Montréal 2005-1417-6 CJDM-FM Drummondville 2005-1418-4 CJOI-FM Rimouski 2005-1419-2 CKMF-FM Montréal Secretary General Related documents • Broadcasting Notice of Public Hearing CRTC 2007-3, 1 March 2007, as amended by Broadcasting Notices of Public Hearing CRTC 2007-3-2, 2007-3-3 and 2007-3-4 • Commercial Radio Policy 2006, Broadcasting Public Notice CRTC 2006-158, 15 December 2006 • Transfer of control of 3903206 Canada Inc., of Telemedia Radio Atlantic Inc. and of 50% of Radiomedia Inc. to Astral Radio Inc., Broadcasting Decision CRTC 2002-90, 19 April 2002 • New licence form for commercial radio stations, Public Notice CRTC 1999-137, 24 August 1999 This decision and the appropriate appendix should be appended to each licence. This document is available in alternative format upon request and may also be examined in PDF format or in HTML at the following Internet site: http://www.crtc.gc.ca Appendix 1 to Broadcasting Decision CRTC 2007-216 Conditions of licence and commitment for the radio programming undertaking CFEI-FM Saint-Hyacinthe Conditions of licence 1. The licence will be subject to the conditions set out in New licence form for commercial radio stations, Public Notice CRTC 1999-137, 24 August 1999, with the exception of condition of licence number 5 and of condition of licence number 9 relating to the solicitation of local advertising, which does not apply to stations operating in a single-station market. 2. The licensee shall make a basic annual contribution to Canadian content development (CCD). The amount of the contribution shall be determined in accordance with the policy set out in Commercial Radio Policy 2006, Broadcasting Public Notice CRTC 2006-158, 15 December 2006 (Public Notice 2006-158), as amended from time to time. The licensee shall allocate 60% of this basic annual CCD contribution to the Foundation Assisting Canadian Talent on Recordings (FACTOR) or MUSICACTION. The remainder of the annual basic CCD contribution shall be allocated